The European Commission has fined Apple a hefty €1.8 billion (around $1.95 billion) for anti-competitive practices related to music streaming apps on iPhones and iPads. The issue stemmed from Apple’s dominant position in the app market, which they allegedly abused by restricting how music streaming app developers operate on their devices. Last month, there were talks of a $500 million fine, but this is a huge step-up from that.

The EU deemed Apple’s practices illegal since they limited user choices

These restrictions, called “anti-steering provisions,” prevented developers from informing users about cheaper subscription options available outside the App Store, including prohibiting them from including links to their own websites or mentioning price differences between in-app subscriptions and those offered elsewhere. The EU deemed these practices illegal as they limited user choice, potentially led to inflated prices, and hindered competition by giving Apple an unfair advantage.

Apple

The fine amount considers the ten-year duration of the violation, Apple’s significant market size, and the need to deter future similar offenses. Additionally, the EU has ordered Apple to remove these anti-steering provisions and refrain from repeating such practices in the future.

This decision could potentially lead to a more competitive music streaming landscape on Apple devices, with users benefiting from more transparent pricing and a wider range of subscription options. Furthermore, it promotes a fairer and more open app market for developers. It’s important to remember that Apple has the right to appeal the decision, but this ruling serves as a strong message for fair competition and consumer rights in the digital age.

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